We are watching the AI world being shaken up by a newcomer. A recently released model called DeepSeek, built by a China-based startup, is disrupting the U.S. tech space like nothing we have seen before. Why? Because it’s outperforming every Big Tech model out there, including OpenAI’s. And to top it all off, it’s doing it with less funding and fewer technological resources. Let’s take a look at five ways in which DeepSeek is better than ChatGPT.
1. DeepSeek is Open-Source
When using AI tools, your experience depends on your specific needs, and sometimes other models might outperform DeepSeek. For instance, DeepSeek’s chatbot may censor certain answers due to Chinese government regulations.
However, DeepSeek offers something OpenAI initially emphasized but later moved away from: true openness. Unlike OpenAI, which moved away from its original transparency, DeepSeek released its R1 model as open-source. You can download it for free and run it locally, keeping your data private. Plus, if you encounter censorship or biases, you can easily bypass them.
2. Cost Efficiency
What stands out with DeepSeek (why it’s shaking up global financial markets) is R1’s massive cost advantage over rival AI models.
Bernstein tech analysts calculate that R1’s cost per token is 96% lower than OpenAI’s o1 reasoning model. This jaw-dropping efficiency forces you to question the entire AI industry’s spending frenzy. How can DeepSeek deliver such results on a shoestring budget while others pour billions into their systems?
DeepSeek’s lower development costs are reflected in its pricing. Both chatbots offer a free tier, so you can ask questions, solve problems, and get general information without paying a dime. If you need more features, both have paid plans. ChatGPT’s subscription starts at $20/month, while DeepSeek offers a basic plan for $0.50/month, making it a significantly cheaper option. There’s a reason why it’s the most downloaded app on the App Store.
3. Human-like Approach to Rational Thinking
DeepSeek’s biggest differentiator is its human-like reasoning. Unlike ChatGPT, which gives you the final answer, Deepseek walks you through its thought process. The first time you see this, it’s mind-blowing. As a journalist, I am skeptical of AI writing, but DeepSeek excels at brainstorming and identifying gaps.
For example, when crafting an article outline, it structured ideas just as you might, addressing ethics and transparency, which ChatGPT skipped. Its coding helps go deeper, explaining logic and design choices in detail. Even product reviews feel sharper, offering insightful comparisons and flaws.
4. Young Talent Driving Innovation
If you ever get to work at DeepSeek, you’ll find yourself surrounded by young graduates from top Chinese universities like Peking University and Tsinghua University. Liang Wenfung, DeepSeek’s founder, explained in an interview with 36Kr that hiring fresh graduates creates a collaborative culture where you can thrive while solving complex challenges.
Most of the core technical roles here are filled by recent graduates from this year or the past couple of years. Liang highlighted that, as a young researcher, you’ll be driven by a shared mission to advance China’s standing in AI innovation.
5. Edge in Python Code Generation
When it comes to Python code generation, DeepSeek truly shines. Its output is cleaner, more efficient, and often surpasses ChatGPT’s, generating optimized solutions and debugging code with minimal input.